AI could reshape long-term U.S. economic growth
AI could reshape long-term U.S. economic growth
Publish Date: 2026-06-29 12:41:00
Source Domain: www.bnnbloomberg.ca
Here are several key points from the BNN Bloomberg interview with Jim Thorne, chief market strategist at Wellington-Altus Private Wealth, regarding his 2026 mid-year market outlook:
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New Economic Regime: Thorne believes a new economic regime is taking shape due to factors such as artificial intelligence (AI), productivity gains, and supply-side economic policies, suggesting that historical investment patterns may no longer be applicable.
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U.S. Economic Leadership: He expects the U.S. economy to drive the next phase of growth, with U.S. companies likely to generate stronger earnings compared to consensus forecasts.
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Impact of AI: Thorne expects AI to drive long-term structural growth rather than just a typical technological boom, leading to enhanced productivity and earnings growth for companies.
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S&P 500 Forecast: He expects the S&P 500 to reach 8,000, driven by earnings momentum and AI-related productivity gains although a forecast of 8,400 would be optimistic.
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Geopolitical Tensions: Thorne views current geopolitical tensions as a temporary supply shock rather than a lasting threat to corporate earnings, confident that markets will absorb this disruption.
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Canada’s Economic Challenges: Thorne argues that Canada is experiencing a balance-sheet recession and recommends a further reduction in interest rates by the Bank of Canada to spur demand for private sector loans.
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Secular Bull Market: He is optimistic about a secular bull market driven by AI and productivity gains, labeling the current market condition as a unique opportunity in an investor’s career.
These points provide a comprehensive overview of Thorne’s views on the evolving market environment and economic outlook for the mid-year of 2026.
